PE Weekly: M&A Staples Manufacturing, Business Services Drive Dealmaking
Middle-market investors continue to show the strength of key verticals
Platform Investments
One Equity Invests in McNICHOLS. One Equity Partners, a middle-market private equity firm, announced recently its investment in McNICHOLS, a distributor of specialty metals and fiberglass products. The McNichols family will retain a share in the company and continue to manage the business, a press release said.
Rockbridge Backs Miles Mediation. Alternative dispute resolution provider Miles Mediation & Arbitration has received an investment from middle-market private equity firm Rockbridge Growth Equity, according to a recent press release. Support from Rockbridge will help Miles Mediation expand in the U.S.
Wynnchurch Acquires Charter Industries. Wynnchurch Capital, a middle-market private equity firm, announced its acquisition of Charter Industries. The company provides edgebanding products to healthcare, education, hospitality, residential, office, retail, and other end markets.
NEA Takes NeueHealth Private. Healthcare company NeueHealth announced the completion of its take-private deal, which sees New Enterprise Associates acquire the business for about $1.465 billion. The transaction delists NeueHealth from the New York Stock Exchange.
Pacific Avenue Carves Out PYP from LKQ. Pacific Avenue Capital Partners, a private equity firm focused on carve-out and other complex transactions, has acquired Pick Your Part, an auto salvage business. The company was carved out from publicly listed LKQ Corporation.
Lovell Minnick Invests in Valor PayTech. Lovell Minnick Partners, a private equity firm that targets financial services, business services, and fintech, has invested in Valor PayTech. Valor provides point-of-sale software and payment technology. Its acquisition by Lovell Minnick follows just days after the firm announced its investment in Merchant Industry, another payment acceptance solutions provider.
Riata Capital Group Announces Investment in Government Window. Riata Capital Group, a Dallas-based private equity firm, announced its strategic investment in Government Window, a cloud-based integrated payments platform serving local governments and municipalities. Riata’s investment is intended to support Government Window’s geographic expansion and continued software buildout.
Thoma Bravo Backs SDC Capital Partners. Thoma Bravo, a software-focused investment firm, announced its minority investment in SDC Capital Partners. SDC is a digital infrastructure investment firm. According to a press release, Thoma Bravo will fund the acquisition from its balance sheet.
Add-Ons
HCI’s LawnPRO Acquires Sea of Green. Lawn care company LawnPRO, sponsored by HCI Equity Partners, has acquired Sea of Green. The company offers lawn care and pest control services in Massachusetts and New Hampshire.
Monomoy Capital’s Thetford Acquires Dave Carter & Associates, Inc. Monomoy Capital Partners, a middle-market PE firm, announced that its portco, Thetford Corporation, a leader in RV and marine sanitation and comfort products, has acquired Dave Carter & Associates, a distributor of electrical, plumbing, and building supplies for RVs and manufactured housing.
Strategics
Carta Acquires Accelex. Software platform Carta, which services the private capital industry, announced its acquisition of AI-powered data automation platform Accelex. The company is focused on alternative investments for institutional LPs. Carta’s acquisition of the business expands its offering to limited partners, the announcement noted.
Exits
Stone-Goff Partners Announces Exit of Investment in Walker Sands. Stone-Goff Partners, a lower middle-market PE firm, exited its investment of Walker Sands, a B2B growth services firm. Walker Sands was sold to Mountaingate Capital, a Colorado-based private equity firm that specializes in partnering with founders and entrepreneurs.
Godspeed Capital Exits SilverEdge Government Solutions to Science Applications International Corp. Science Applications International Corp., a publicly traded mission integrator in the defense, space, intelligence, and civilian agencies space, will acquire SilverEdge Government Solutions from PE firm Godspeed Capital. SilverEdge is a technology solutions and products provider, and was acquired for $205 million cash.
Fundraising
Northlane Capital Partners Announces Close of Fund III. Northlane Capital Partners, a middle-market PE firm that invests in healthcare and business services subsectors, closed its oversubscribed third fund at its hard cap of $750 million. This surpassed the $550 million target and the $408 million raised in Fund II.
Blue Sage Capital Closes Strategic Credit Fund. Blue Sage Capital, a lower middle-market private capital firm, announced the close of its oversubscribed Blue Sage Strategic Credit Fund at $287 million. Blue Sage structured the new fund as a small business investment company and limited the fund size to maintain its lower middle-market focus.
Insights
PE Firm Tayeh Capital Group Launches. A new middle-market private equity firm has entered the market. Tayeh Capital Group, a growth-focused private equity firm, announced its debut in a recent press release. The firm is led by Dave Tayeh and Jay Alex, with backing from global alternative asset management solutions provider GCM Grosvenor.
Middle Market Growth is produced by the Association for Corporate Growth. To learn more about the organization and how to become a member, visit www.acg.org.
